WW achtml?deploymentid=5832841927042390377626072086&eISBN=9781337395298&id=859177518&snapshotid + 1856ADEX NDTAP Search this course y: Interest rate premiums Video Excel Online Structured Activity: Interest rate premiums A 5-year Treasury bond has a 3.45% yield. A 10-year Treasury bond yields 6.5%, and a 10-year corporate bond yields 8.45%. The market expects that inflation will average 3.15% over the next 10 years (IP30 - 3.15%). Assume that there is no maturity risk premium (MRP - 0) and that the annual real risk-free rate, will remain constant over the next 10 years. (Hint: Remember that the default risk premium and the liquidity premium are zero for Treasury securities: DRP - LP -0.) A 5-year corporate bond has the same default risk premium and liquidity premium as the 10-year corporate bond described. The data has been collected in the Microsoft Excel Online file below. Open the spreadsheet and perform the required analysis to answer the question below. X 1001 Prensareadsheet What is the vield on this 5-year corporate bond? Round your answer to two decimal places, Reset Problem Na Check My Work template Saved X Excel File Home Insert Formulas Data Review View Help Tell me what you want to do 6 Arial 10 AA General ill X Cut Copy Paste 3 Format Painter Clipboard BI U Dab B. A $. % 11 Conditional Form Formatting - as Tabl Tables Undo Font Number Alignment B20 fi c G B D Interest rate premiums 3.45% 6.50% 8.45% 35-year Treasury yield (Ts) 4 10-year Treasury yield (TO) 10-year Corporate yield (C10) Inflation Premium over 10 years (IP..) Maturity Risk Premium (MRP) DRP Treasury LP Treasury 10 DRPC+LPc-DRPC0+ LP CHO 3.15% 0.00% 0.00% 0.00% Formulas 12 Real risk-free rater 13 Inflation premium over 5 years (IP) WNIA #NA 16 DRP.. +LPG 5.50% ANIA 185-year Corporate yleld (C.) Sheet1 + Woo Stutto a OP 9ine here to search WW achtml?deploymentid=5832841927042390377626072086&eISBN=9781337395298&id=859177518&snapshotid + 1856ADEX NDTAP Search this course y: Interest rate premiums Video Excel Online Structured Activity: Interest rate premiums A 5-year Treasury bond has a 3.45% yield. A 10-year Treasury bond yields 6.5%, and a 10-year corporate bond yields 8.45%. The market expects that inflation will average 3.15% over the next 10 years (IP30 - 3.15%). Assume that there is no maturity risk premium (MRP - 0) and that the annual real risk-free rate, will remain constant over the next 10 years. (Hint: Remember that the default risk premium and the liquidity premium are zero for Treasury securities: DRP - LP -0.) A 5-year corporate bond has the same default risk premium and liquidity premium as the 10-year corporate bond described. The data has been collected in the Microsoft Excel Online file below. Open the spreadsheet and perform the required analysis to answer the question below. X 1001 Prensareadsheet What is the vield on this 5-year corporate bond? Round your answer to two decimal places, Reset Problem Na Check My Work template Saved X Excel File Home Insert Formulas Data Review View Help Tell me what you want to do 6 Arial 10 AA General ill X Cut Copy Paste 3 Format Painter Clipboard BI U Dab B. A $. % 11 Conditional Form Formatting - as Tabl Tables Undo Font Number Alignment B20 fi c G B D Interest rate premiums 3.45% 6.50% 8.45% 35-year Treasury yield (Ts) 4 10-year Treasury yield (TO) 10-year Corporate yield (C10) Inflation Premium over 10 years (IP..) Maturity Risk Premium (MRP) DRP Treasury LP Treasury 10 DRPC+LPc-DRPC0+ LP CHO 3.15% 0.00% 0.00% 0.00% Formulas 12 Real risk-free rater 13 Inflation premium over 5 years (IP) WNIA #NA 16 DRP.. +LPG 5.50% ANIA 185-year Corporate yleld (C.) Sheet1 + Woo Stutto a OP 9ine here to search
